AFGlobal Corporation Enters Restructuring Support Agreement with its Lenders

by: AFGlobal

Company to Reduce Leverage Substantially, Continues Key Leadership Role in Oil and Gas Technology, Products and Services

HOUSTON, TX, May 1, 2017 -- AFGlobal Corporation formally announced today (as previously disclosed) that it has entered into a Restructuring Support Agreement (RSA) with majority support from its senior lenders and launched a solicitation for a pre-packaged reorganization plan that will substantially reduce AFGlobal's debt service obligations and position it for long-term success. The restructuring process is expected to conclude in approximately 45 days and the Company's business continues to operate as normal. During the process, AFGlobal will receive substantial interim funds to ensure business continuity as well as long-term liquidity.

"Restructuring activities are underway to support our growing oil and gas business, alleviating the company of its unsustainable debt, given current market conditions", commented Curtis Samford, President and Chief Executive Officer of AFGlobal. "Retiring past debt will enable us to more efficiently continue on our path towards building next-generation technologies that support the next phase of drilling and production in our industry." Samford continued, "We greatly appreciate the support offered by our senior lenders as well as the infusion of new capital."

AFGlobal is an oil and gas OEM specializing in technology, products, and services with fully-integrated manufacturing capabilities to clients around the world. We align well-established precision engineering with industry-leading innovation. AFGlobal also offers a broad range of manufacturing capabilities to industrial segments, offering a variety of both highly-engineered and general forged products, as well as complementary aftermarket services. Headquartered in Houston, Texas, the Company delivers value through more than 20 facilities worldwide. www.afglobalcorp.com.